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Independent Contractor or Contract for Service

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With the aid of the above case law, it can now be examined whether Cameron could be regarded as an employee of Veritas Airways. His service conditions are stated below. He was required to wear a uniform supplied by Veritus Airways Ltd. He was not entitled to sick pay or membership of the airline’ s non-contributory pension scheme. In the event that he was unable to work due to sickness, he could substitute himself with one of Veritas Airways Ltd’ s other pilot’ s, on receipt of written permission from his General Manager. He was responsible for paying his own tax and national insurance: the Human Resources Department had asked him two months ago if he would prefer to work on a self-employed basis, saying that he would pay less tax.

Cameron agreed to this. He was required to do 24 hours of flying time a week from Thursday through to Monday to fit in with Veritas Airways Ltd clients’ needs. Applying the House of Lord’ s ruling in Carmichael case, the last condition above being suggestive of mutuality of obligation, Cameron could be considered as an employee of Veritas Airways Ltd.

The fact he was offered to work on a self-employed basis does pose some problem. But looking at it deeply, merely because he is named as a self-employed, he does not become self-employed unless other conditions are satisfied. He has not brought his own aircraft, i.e. the tools of the trade as had been held in Ready-Mixed Concrete Case wherein the claimant had his own lorry brought for work. Moreover, Cameron was not allowed to bring outside substitute pilot on his own terms so as to make a profit out of it.

He was expected to work personally and allowed to put substitute only from the pool of pilots available with the Airways Company. So, the test in Express Echo Publications also would not apply in Cameron’ s case. On the other hand, the McFarlane case above would apply since gymnast trainers could not be substituted from outside the council’ s list of approved trainers and the council paid them. Neither was he a casual worker. He had to be present during the specified days of the week.

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